BPE sells FirstAssist; Ninth exit in 2011

Anneken Tappe
28 September 2011

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Barclays Private Equity has sold FirstAssist Insurance Services Ltd. for ТЃ71m to healthcare provider Cigna.

Throughout the eight year partnership, FirstAssist Insurance broadened its product range, worked on tailored products to white label clients and outsourced some insurance operations. Buyer Cigna promises access to wider distribution and a broadening of the product range.

Upon completion, the transaction will represent the ninth successful exit for Barclays Private Equity in the past nine months.

Previous Funding
FirstAssist Insurance Services was first acquired by Barclays Private Equity in 2003 as part of a management buyout of the FirstAssist Group worth £147m. Capital for the acquisition was sourced from BPE Fund I. The exit from FistAssist Insurance will be the 35th divestment from this fund.

Company
FirstAssist Insurance Services is headquartered in Sutton, Surrey, with offices in Plymouth and Bournemouth and employs 480 people. The company's white label product range features travel, budget health, protection and legal insurance for financial institutions, retailers and affinity groups.

In 2010, the company's operating profit amounted to £5.8m on net earned premiums of £153m.

People
Catherine Wall and Andrew Backen led the exit on behalf of Barclays Private Equity.

Advisers
Vendor - Clifford Chance, David Walker, Andrew Mills (Legal); Hawkpoint, Lawrence Guthrie, David Tyrrell, Bill Gardiner, Jamie Supple (Corporate finance); PricewaterhouseCoopers, Damien Guly, Christina Zarifi, Edward Johns (Financial due diligence); KPMG, Stuart Shepley (Actuarial due diligence).
Acquirer - Hogan Lovells, Tim Goggins, Neil Chisholm (Legal).
Company - Grant Thornton, Iain Stern (Tax).
Management - Travers Smith, Phil Sanderson, Emma Pearce (Legal).